San Diego County To See Massive Increase In Homebuilding

Developers are on pace to pull over 10,000 building permits for new homes in San Diego County this year, reports KGTV.

A new report from the Southern California Real Estate Research Council revealed that in the first half of 2021 developers obtained permits for 4,973 housing units with about two-thirds of them attached homes.

According to KGTV, if the pace picks up slightly the industry would be able to build more than 10,000 new homes. This would be the first time over 10,000 new homes were built since 2006, the year before the housing crash led to the Great Recession.

"The way our structure is now, it really only encourages our ability to build at the higher income, and we've got to figure out how to scale it back," Lori Pfeiler, CEO of the San Diego Building Industry Association told KGTV.

According to KGTV, even if the region does hit 10,000 permits in 2021, SANDAG will need more than double that annually through 2029 to meet the demand.

London Moder Advisors' Gary London says most of the big projects are happening in Mission Valley and downtown.